Problem $10-63($Static$)$ Activity$-$Based Reporting and Capacity $($LO $10-4,5)$

Hosmer Industries provides the following information about resources and usage:

$\backslash$table$[[,\backslash$table$[[$Unused$],[$Resources$],[$Capacity$]],$Cost Driver Volume$],[$Resources used,$$4,800,6,400$ pounds,,$],[$Materials$,3,744,272$ hours,,$],[$Power$,1,800,62$ setups,,$],[$Setups$,4,320,64$ purchase orders,,$],[$Purchasing$,18,240,40$ inquiries,,$],[$Client assistance,$8,160,256$ labor$-$hours,,$],[$Supervision$,6,720,3,360$ square meters,,$],[$Facility cost$,,,,],[$Resources supplied,$235,200,,,],[$Materials$,42,912,,,],[$Power$,57,600,,,],[$Setups$,50,400,,,],[$Purchasing$,37,440,,,],[$Client assistance,$69,600,,,],[$Supervision$,67,200,,,],[$Facility cost$,,,,]]$

Sales revenue for Hosmer Industries is $$720,000.$

Required:

a$.$ Prepare a traditional income statement.

b$.$ Prepare an activity$-$based income statement.

Complete this question by entering your answers in the tabs below.

Complete this question by entering your answers in the tabs below.

$\backslash$table$[[$Required A$,$Required B$,,,,],[$Prepare an activity$-$based income statement.$],[$Activity$-$Based Income Statement$],[,,\backslash$table$[[$Rescurces$],[$Used$]],\backslash$table$[[$Unused$],[$Resource$],[$Capacity$]],\backslash$table$[[$Rescurces$],[$Supplied$]],],[$Costs$],[$Unit$],[,,,,,],[,,,,,],[$Batch$],[],[],[,,,,,],[,,,,,],[,,,,,],[,,$$$,5,$$$,],[$Product and customer suataining$],[,,,,,],[,,,,,],[,,3,3,3,],[$Capacity sustaining$],[,,,,,],[,,,,,],[,,,,,],[,,$$$,$$$,$$$,],[$Total costs,$\backslash$table$[[5,0]],3,5,0],[,,,$$